November 25, 2003

The Michigan Public Service Commission (MPSC) today issued an order approving a settlement agreement and authorizing Cloverland Electric Cooperative to reconcile its power supply cost recovery (PSCR) revenues and expenses for the 12-month period ended December 31, 2002.  The company filed its application on this matter on March 31, 2003.

Terms of the settlement agreement indicate that Cloverland Electric Cooperative experienced an over-collection in the amount of $160,263, of which $144,301 was attributable to monthly member-consumers and the remaining $15,962 to seasonal member-consumers. 

Cloverland refunded the over-collecton to its monthly member-consumers by applying a credit of approximately 1.333 mills per kilowatt-hour (kWh) during the billing months January through July 2003.  The company refunded the over-collection to its seasonal member-consumers by applying a credit of approximately 1.333 mills per kWh during the billing months June through August 2003.  Subsequently, Cloverland discovered that it inadvertently over-refunded amounts to both its monthly and seasonal member-consumers.  The company and the MPSC staff agreed that the over-refund will be carried forward into the 2003 PSCR reconciliation proceeding.

Today’s order approved the settlement agreement and authorizes the above refunds. 

The MPSC is an agency within the Department of Consumer and Industry Services.

Case No. U-13109-R

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